Average cost of motor insurance by Tarian (£315) is significantly lower than the country’s record high average (£492).

Motor insurance premiums continue to rise, with the industry blaming Government tax and changes to compensation pay-outs.

Insurers say that motor insurance premiums have risen by £30 in the last year to hit a record average high of £493.

£493 is the figure that was the average paid in the fourth quarter of 2017 for a private comprehensive policy and is 6% higher than it was in the same period in 2016.

The Association of British Insurers (ABI) released the data and said the overall average for the whole of 2017 was £481.

That’s a £40 or 9% increase since 2016.

The ABI added that the average motor insurance policy has risen by 29% since 2014.

The ABI is calling for the Government to freeze insurance premium tax to help drivers lower their motoring costs – the Government has increased it several times in recent years.

The standard rate is now 12% which is double what it was between 2011 and the end of 2015.

Whiplash claims and changes to lump-sum compensation payments for people with long-term injuries have also contributed to the increase.

Rob Cummings, the ABI's head of motor and liability, said: "The rising cost of motor insurance shows no sign of abating."

"Changes to how compensation pay-outs are calculated, insurance premium tax, more whiplash-style claims and rising repair bills are all piling on the pressure for cash-strapped drivers."

Tarian’s average motor insurance premium is £315, which is significantly lower than the country’s average.

Source: https://news.sky.com/story/motor-insurance-premiums-hit-record-high-11220393